Why CVS Health Stock Is Tanking Today
Shares of CVS Health (NYSE: CVS) are tanking today, down 10.5% as of 12:29 p.m. EDT. The culprit behind the big decline was the market meltdown stemming from heightened worries about the impact of the novel coronavirus disease COVID-19. Investors panicked after President Trump announced Wednesday evening that most travel from Europe would be suspended for one month due to the viral pandemic.
The important question to ask in the midst of the market sell-off is whether COVID-19 will really negatively impact the business prospects for a given company. In CVS Health's case, it's possible that front-store sales could be hurt if many customers stay home in an effort to minimize exposure to the novel coronavirus.
Image source: CVS Health.
Source Fool.com
